Robinhood has announced a significant expansion of its cryptocurrency services in Europe, allowing users in the European Union to transfer cryptocurrencies in and out of its app. This new feature enables EU customers to deposit and withdraw more than 20 digital currencies, including Bitcoin, Ethereum, Solana, and USD Coin, giving them the ability to self-custody their crypto assets. This contrasts with the previous setup, where users could only buy and sell crypto but not move it to external wallets.
The decision comes as Robinhood eyes the EU as a key market, partly due to favorable regulations such as the Markets in Crypto-Assets (MiCA) framework, which unifies crypto regulations across the bloc’s 27 member states. Johann Kerbrat, Robinhood’s general manager of crypto, highlighted the EU’s attractiveness due to these harmonized rules, potentially making it as significant a market as the U.S.
In a move to incentivize early adoption, Robinhood is offering EU customers 1% of the value of tokens deposited back in the equivalent cryptocurrency.
This expansion comes amidst ongoing regulatory challenges in the U.S., where the SEC has been pursuing legal action against major crypto companies like Coinbase, Binance, and Ripple. Kerbrat expressed disappointment with the U.S. regulatory approach, contrasting it with the more clear-cut regulatory landscape in the EU.
Additionally, Robinhood’s acquisition of Luxembourg-based Bitstamp for $200 million, set to close in 2025, is expected to enhance its global presence, allowing the company to enter more international markets and gain key regulatory permissions. Bitstamp’s established licenses across regions like Singapore, the U.K., and the EU will aid Robinhood’s efforts to diversify into serving institutional investors.
At present, Robinhood’s crypto services are available only in the EU, not yet in the U.K., though the company launched its stock trading platform there in November 2023.
Source: cnbc.com
